How long it takes the average Australian to save for a holiday

Data from Money.com.au shows Australians are still committed to travel despite rising costs making it harder to save.

The report shows a third of people take up to a year to save, another third save for up to six months, while almost a fifth take longer than a year to save for their big holiday.

Money.com.au finance expert Sean Callery said it shows Australians are committed to going on holiday despite the cost of living crunch.

"Our research also shows that travel is the one expense Australians aren't willing to forgo, no matter their financial goals or income level. This simply means many will have to gradually build savings over several months to fund a trip," he said.

Interestingly, another 7 per cent of people don't save at all - they cover their holiday expenses on a credit card - while 2 per cent take out a personal loan to fund their trip.

"Going into debt for a holiday brings additional costs and risks. The sooner you can pay off your trip, the less you're likely to be paying in interest and fees. It's important to have a plan for clearing the debt as quickly as possible," Mr Callery said.

A report from Budget Direct Insurance painted a similar picture about the length of time it takes us to save for our holidays. Just over 30 per cent of Australians surveyed in 2023 said they spent 6-12 months saving for a holiday.

It showed younger adults had to save for longer - presumably because of their comparatively-low incomes - with more than 40 per cent of 18 to 27-year-olds saving for 6 to 12 months to afford their holiday.

When it comes to which state can afford to go on holiday the quickest, Money.com.au data suggests ACT and Tasmania might be the most flush, as it took them the least amount of time to save for their trip. A little over 40 per cent said they saved up in only six months.

So how long would it take to save up for an overseas trip to some of Australia's favourite destinations?

Money.com.au showed the average saving time for a 10-day trip to China (costing around $4,153) was five months, 5.5 months for Bali ($4,599), 5.7 months for New Zealand ($4,768), 7.8 months for Italy ($6,515) and 9.4 months for the United States ($7,819).

This was calculated assuming people were saving 10 per cent of their weekly earnings, which ABS data shows is a $1,923.40 pay packet on average.

The calculations were made using real-time prices for May 1-10, 2025, for one adult with return flights to the main airport, 10 nights in a four-star hotel, and a spending and travel allowance, the finance platform said.